Winklevoss: US Risks Falling Behind In Bull Run
Gemini co-founder Cameron Winklevoss has warned that the United States could miss out on the next bull run in the cryptocurrency market if it fails to embrace digital assets and provide clear regulatory guidelines for the industry.
Crypto Bull Run to Start in the East
In a series of tweets on Feb. 19, Winklevoss predicted that the next crypto bull run would begin in the East and that it would demonstrate that digital assets are a global phenomenon. He expressed his disappointment that the US has been unable to offer clear regulatory guidelines for the digital asset industry, and claimed that governments that do not provide “clear rules and sincere guidelines” for the crypto sector could miss out on the most significant economic growth the world has seen since the rise of the commercial internet.
My working thesis atm is that the next bull run is going to start in the East. It will be a humbling reminder that crypto is a global asset class and that the West, really the US, always only ever had two options: embrace it or be left behind. It can’t be stopped. That we know.
— Cameron Winklevoss (@cameron) February 19, 2023
Possible Bull Run
Winklevoss argued that the US government’s reluctance to regulate crypto could mean that it misses out on the opportunity to play a foundational role in shaping and shepherding the future financial infrastructure, which he believes will be centered around crypto.
The warning comes in the midst of a significant rise in the value of Bitcoin, which recently surged above $25,000, indicating that the cryptocurrency market may be preparing for a bull run. While the price of Bitcoin has since fallen slightly, many analysts believe that the bull market has already started.
Winklevoss believes that the recent increase in the price of Bitcoin, especially following the FTX debacle that destabilized the industry, shows that the sector is recovering and moving past that chapter.
Proposed Crypto Exchange Regulations
Meanwhile, Tyler Winklevoss, Cameron’s twin brother and co-founder of Gemini, has said that if a proposed rule by the Securities and Exchange Commission (SEC) is approved, Gemini will be recognized as a qualified fiduciary custodian. On Feb. 15, SEC chair Gary Gensler suggested including cryptocurrency exchanges in federal custody laws, which would require crypto exchanges to separate their money from their customers’ funds and undergo more rigorous registration procedures to be recognized as qualified custodians.
Gemini already complies with capital requirements, anti-money laundering, and cybersecurity regulations, according to Tyler Winklevoss.
As the crypto industry continues to grow and mature, it will be important for governments to provide clear and comprehensive regulatory guidelines that ensure both investor protection and innovation. Cameron Winklevoss’s warning underscores the urgent need for the US to step up its efforts to regulate the digital asset industry and remain competitive in the global market.
